Scripscan:Titan Industries Ltd.
NSE Symbol: TITAN
Sector: FMCG
CMP:700
Target: 1000
Story:The net sales decreased on a qoq basis due to decline in consumer spending. The net profit declined on account of high extraordinary expenses of Rs 17.6 crs due to income tax of earlier years and interest of the same. There was also increase in inventory and employee cost. In the watch segment revenue grew by 4% yoy to Rs 193 crs but it was impacted by decline in Sonata brand. There was increase in sales from the other brands namely Titan and Fastrack. Jewellery sales also increased by 33% yoy to Rs 788.7 crs. In the Eyewear segment revenues amounted to Rs 14 crs and loss of Rs 5 crs. The eyewear business has expanded to 50 storesƒ|Titan has the best brands including Titan, Tanishq, Sonata and Titan Eye+. These brands have tremendous growth potential. Titan has one of the largest retail networks of 475 and more stores. Titan has not shown great results for the quarter but it is above expectations. It has a good future going ahead considering its market share. Its one of the most admired brands in the industry. It has reported an annualised EPS of Rs 44.67 per share for FY09. At CMP of Rs 700, it trades at a P/E of less than 16. I recommend the stock as a good investment with a target price of 1000.
Thursday, March 12, 2009
Important Disclaimer&Privacy policy
This blog does not share personal information with third parties nor do we store any information about your visit to this blog other than to analyze and optimize your content and reading experience through the use of cookies.You can turn off the use of cookies at anytime by changing your specific browser settings.This privacy policy is subject to change without notice and was last updated on 20.3.2013. If you have any questions, feel free to contact me directly here: arunsharemarket@gmail.com
Investment in equity shares has its own risks.Sincere efforts have been made to present the right investment perspective.The information contained herein is based on analysis and up on sources that I consider reliable. I,however,do not vouch for the accuracy or the completeness thereof.This material is for personal information and am not responsible for any loss incurred based upon it & take no responsibility whatsoever for any financial profits or loss which may arise from the recommendations above.The stock price projections shown are not necessarily indicative of future price performance.The information herein, together with all estimates and forecasts, can change without notice.
